Hi, I am brand new here so please bear with me, a little background... I've just moved to Houston recently due to my wife doing her residency here, due to the online nature of my job (internet marketing) my current job is gracious enough to let me work remote and for the most part, things are fine. A job lead came through over Linkedin this week and after handling numerous client emails today, I was finally going to update my resume tonight - but after staring at the screen for 2+ hours, it really hits me, I am really much more interested in trading than my current career... I've been reading books and following the markets for ~3 years and I've been trading futures on the side for around a year (basically breaking even) so I'd consider myself very new at this - my questions are: How do I know when to call it quits? All the stats that I've read points to 90% ~ 95% of all traders failing to make it so although I am optimistic that I can eventually make it work, I am realistic as well... Does trading part time work or am I much better off focusing on this 100%? Are there good prop firms in Houston worth considering? Now to this point, why would any firm hire me? I have an advertising degree and basically no professional financial background what so ever - I guess my current job has some data analysis component but that's about it. My wife came from a very traditional career background so any tips on how to even get the "hey hon, I am going to quit my job and try this trading thing" conversation started would be extremely helpful - in her mind I am better off just sticking to my current career and get paid every month. Sincerely, Vith
Another aspect to consider, even when you get in the 10% profitable, is the amount of capital required to make a living. If you think making 100% (before tax) a year is easy, or even doable, just use that to assess what capital you'd require to make a living at that performance level. Add to that enough money to cover your living expenses until you get profitable at that level. ... Keeping your job until then seems a reasonable option (unless, of course, your tired of your wife just as much as your are tired of your job).
I mean right now starting off I'd be thrilled to get like 1% ~ 2% return a month... so yeah, definitely not something to live off of. Once she's a full fledged doctor next year maybe I can convince her to give me a shot at this...
Unfortunately, just having the passion to trade full time isn't enough. Like you, I sit through a daily grind wishing I could just quit and be the fulltime trader I want to be. Best advice I can give you (and I am not an expert by any means) is to modify your trading so you can stick with it part time while still working. When you get to the point where capital is big enough so that your returns match what your current income is, then you can seriously explore an exit strategy in to trading full time (as long as you have a few years living expenses). You never want to trade the mortgage money, always trade for next year's income (what you make this year is what you budget and spend next year). Everyone's path is different, but I have seen too many friends decide that trading was their "passion" and jumped in full tilt leading to disasterous results (and even ending a marriage). Understand that everyone is different and this is just one point of view.
You're now in Houston, the capital of the booming hydrocarbon sector? Switch industries, bank some money, and try FT trading later on.
Why would you come into trading at a time when many others are leaving? I strongly advise you not to throw your life away for a thrill.
The people that I know that are in oil & gas went to school and got a degree specifically for that (or law for landman) - I do see some marketing jobs open online (and thus the resume updating) but ultimately I don't think there is as much opportunity for my field here... but then again I have not looks super-hard so far. I know if you can get a job the pay is fairly phenomenal. Grandluxe - why are people leaving? Is it because the inefficiencies are just becoming less and less? Thanks for all the replies guys!